Third Canadian citizen has been detained in China, Global Affairs Canada confirms

21/12/2018

Huawei Rotating Chairman Ken Hu held a press conference with leading global media at the company's new campus in Dongguan on Tuesday, December 18.

Huawei is the world's largest supplier of telecommunications network equipment and the second-biggest maker of smartphones, with revenue of about US$92 billion past year.

In late November, New Zealand's intelligence agency barred Huawei from participating in its 5G development, citing "significant national security risks".

While the company opened its doors to the media, Hu skirted questions on the arrest in Canada of Huawei's chief financial officer, Meng Wanzhou, who faces USA fraud charges related to Iran sanctions violations.

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Hu said the Oversight Board in the United Kingdom had pointed out that the company needed to improve its software engineering capabilities and practices.

President Donald Trump complicated matters by saying he might intervene in the case if would help clinch a USA trade agreement with China - much to the consternation of Canadian officials who said the arrest was not political and they were just following their extradition treaty obligations. Having said that, it definitely does not mean we don't value other voices or concerns around Huawei's openness, transparency, and independence. Currently, multiple countries including New Zealand, Australia, and the U.S. have imposed bans on Huawei's equipment citing security as an issue.

Hu says there is no evidence that implicates Huawei's equipment to be a security threat.

Huawei has become the target of US security concerns because of its ties to China's government.

But that same day, China's ambassador to Canada, Lu Shaye, sounded a more conciliatory note about the bilateral relationship, saying there was potential for Canada to take part in his country's massive global infrastructure project known as the Belt and Road Initiative.

He also directly addressed recent allegations against Huawei, stating that it is best to let facts speak for themselves, while emphasizing repeatedly that the company's security record was clean. Australia and the United States also enacted similar bans earlier this year. Meanwhile Britain's BT carrier recently has chose to pull Huawei equipment from its existing network. However, no evidence indicates that Huawei equipment poses a security threat. While not specifically mentioned, the U.S. was likely one of them. "At the same time, since we're working together with hundreds of telecom operators in the world, and also, we are serving a significant number of enterprise customers, so we look at the full lifecycle support that is needed and build up our stock of spare parts and components to ensure support across the product lifecycle".

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